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Knowledge Center

Invoices - Recording Payments and Adjustments to Invoices

Purpose Statement

This feature allows Fire/EMS departments to efficiently manage invoice payments, adjustments, and refunds within the billing system. Users can record full or partial payments, apply discounts, write off unpaid invoices, mark invoices for collections, and process refunds. This streamlines the financial management process and ensures accurate record-keeping for department billing operations.

Background Information

Invoice payment management is a critical component of Fire/EMS department billing operations. This feature supports various payment scenarios including emergency service fees, inspection charges, and training costs. The system accommodates different payment methods (cash, check, credit card) and provides audit trails for all financial transactions. Common use cases include processing payments, collecting fees from municipalities, and managing billing disputes through discounts or write-offs.

Required Permissions

To complete invoice payment and adjustment tasks, users need the following permissions:

  • Invoice Management: Edit invoices and apply payments
  • Payment Processing: Record and modify payment transactions
  • Financial Adjustments: Apply discounts and write-offs (may require approver permissions)
  • Refund Processing: Issue refunds for overpayments or billing corrections
  • Collections Management: Mark invoices for collections status

Video
 


 

Step-by-Step Guide

1. Click on Invoicing.
 
Click on Invoicing.
 
2. Click on Invoice List.
 
Click on Invoice List.
 
3. Expand Advanced Search and select or enter any needed Advanced Search fields and select Apply.
 
Expand Advanced Search and select or enter any needed Advanced Search fields and select Apply.
 
4. Select Edit to Apply Payment or make adjustments to an Invoice.
 
Select Edit to Apply Payment or make adjustments to an Invoice.
 
5. Click on Apply Payment.
 
Click on Apply Payment.
 
6. Option 1: To apply a full payment to the Invoice, update the date (if needed) (#1), select Full (#2), select the Payment Type (#3) (selecting check will require a check number to be entered #4), enter a note (#5) and then select Apply (#6).
 

 
7. Option 2: To apply a partial payment to the Invoice, update the date (if needed) (#1), select Partial (#2), requires an amount to be entered (#3), select the Payment Type (#4), selecting check will require a check number to be entered (#5) enter a note (#6),and then select Apply.
 

 
8. Option 3: To apply a payment by Line Item, update the date (if needed) (#1), select Pay Line Item (#2), select the Payment Type (#3), selecting check will require a check number to be entered (#4), select line item(s) (#5), enter a note (#6), and then select Apply (#7).
 
  1. Note: Selecting all line items will change the Payment Applied to Full.
     
  2. NOTE: The Pay Line Item option is disabled if a Discount has been applied to the Invoice.


 

 
9. To write off the Invoice, click on Write Off.
 
To write off the Invoice, click on Write Off.
 
10. Select Write Off approver and a reason, then select apply.
 
Select Write Off approver and a reason, then select apply.
 
11. To apply a discount to the Invoice, click on Discount.
 
To apply a discount to the Invoice, click on Discount.
 
12. To apply the discount, update the date (if needed), select the discount approver, enter the amount for the discount or select percentage and enter a percentage for the discount, enter a reason, and then select Apply.
 
To apply the discount, update the date (if needed), select the discount approver, enter the amount for the discount or select percentage and enter a percentage for the discount, enter a reason, and then select Apply.
 
13. Click on Sent to Collections to mark the Invoice as Sent to Collections.
 
Click on Sent to Collections to mark the Invoice as Sent to Collections.
 
14. When done applying a payment or making other adjustments, click on Close.
 
When done applying a payment or making other adjustments, click on Close.
 
15. If prompted to Save, select Yes.
 
If prompted to Save, select Yes.
 
16. To make a refund, select Reopen from the Actions Column.
 
To make a refund, select Reopen from the Actions Column.
 
17. Click on Refund.
 
Click on Refund.
 
18. To apply a full refund, update the date (if needed), select refund approver, select full for Refund Applied, select payment type (if a check enter the check number), enter a note, enter a reason as required, then click on Apply.
 
To apply a refund, update the date (if needed), select refund approver, select full or partial refund (enter the amount for a partial refund), select payment type (if a check enter the check number), enter a reason, then click on Apply.
 
19. To apply a partial refund, update the date (if needed), select refund approver, select "Partial" for Refund Applied, select payment type (if a check enter the check number), enter a note, enter a reason as required, then click on Apply.

 

 

 

 

 

 
20. To apply a partial refund by Line Item, update the date (if needed), select refund approver, select "Partial" for Refund Applied, check to select Line Item, select the line item(s) to refund, select payment type (if a check enter the check number), enter a note, enter a reason as required, then click on Apply.
 
  1. A partial refund by Line Item only applies to Invoices with multiple Line Items.

 

 

 

 

 

 
21. Refund example:
 

 
22. Print or send the updated Invoice as per your agency requirements.
 
Print or send the updated Invoice as per your agency requirements.
 
23. Click on Close.
 
Click on Close.
 
24. If prompted to Save, select Yes.
 
If prompted to Save, select Yes.
 


 

Best Practices
 

Payment Recording
 
  • Always verify payment amounts against received funds before applying
  • Use descriptive notes to document payment source and any special circumstances
  • Ensure check numbers are accurately recorded for audit purposes
  • Apply payments promptly to maintain accurate aging reports

Adjustment Guidelines

  • Obtain proper approvals before applying discounts or write-offs
  • Document clear reasons for all adjustments to support audit requirements
  • Review line-item details before applying partial payments to ensure accuracy
  • Use collections status sparingly and follow your department's collections policy

Refund Management

  • Verify refund necessity and amount before processing
  • Ensure proper approvals are obtained for all refunds
  • Maintain clear documentation of refund reasons for accounting records
  • Follow up on refund checks to ensure delivery to appropriate parties

Troubleshooting & FAQs

Common Issues:

Q: Why can't I select "Pay Line Item" option? A: The Pay Line Item option is disabled when a discount has already been applied to the invoice. Remove the discount first, or use the Full or Partial payment options instead.

Q: The payment amount doesn't match the invoice total. What should I do? A: Use the Partial payment option to record the exact amount received. If there's a remaining balance, it can be addressed through collections, write-off, or discount processes as appropriate.

Q: How do I handle overpayments? A: Process the full payment first, then use the Refund feature to return the overpayment amount to the payer.

Q: Can I reverse a payment once it's been applied? A: Contact your system administrator for payment reversals, as this typically requires special permissions or may need to be handled through the refund process.

Q: Why do some actions require an approver selection? A: Write-offs, discounts, and refunds require approver selection to maintain proper financial controls and audit trails as required by most Fire/EMS department policies.